European steel industry outraged at announcement of the iron ore industry to massively increase iron ore prices

The European steel industry is outraged at the announcement by the iron ore industry to massively increase iron ore prices by 80 to 90 % compared to today’s price levels for fines and even more for lump and pellets. These increases come while the industry is still reeling from the effects of the most serious financial and economic crisis since the 1930s. European governments should be aware of the implications for the wider economy if these price increases become reality. It is striking that these price hikes are coming from companies which, even in the worst crisis in the world economy in the last 80 years show EBIT margins of up to 50% per tonne.

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